The Indian government’s decision to impose a 28% tax on online gaming poses an “existential threat” to the booming industry and could spell its death knell, say experts.
Shares of Indian online gaming platforms and casinos have crashed following the GST (Goods and Services Tax) Council’s decision.
The country’s 900+ gaming start-ups had been paying a small tax on the fee they charged for offering games. But the imposition of a 28% GST on the full face value of a gaming transaction will mean the entire amount collected from players will now come under the ambit of taxation.